Uber continues to face legal trouble. This time, 45 taxi companies in Philadelphia are teaming up to file a federal lawsuit against the ride-sharing service.
The group of cab companies refer to the San Francisco-based company as unfair competition for regular cab drivers and accused it of racketeering and being in "blatant violation" of federal and state laws, while taxi drivers must obey state laws and regulations when providing rides, according to The Wall Street Journal.
The suit also claims that Uber is bringing down the value of taxi medallions in Philadelphia, which is currently worth about $520,000 each, by letting amateur drivers give rides.
"Not since the days of bootlegging has there been a criminal enterprise so brazen and open as to attract hundreds of millions of dollars in investment from investment bankers and to operate in blatant violation of federal and state law as Uber," reads the complaint, which was filed in the Eastern District of Pennsylvania.
Among the individuals connected to the lawsuit is Uber CEO Travis Kalanick, who was recently indicted by the South Korean government for violating one of the country's public transport laws, Uncover California reported. Prosecutors will not make any arrests under the indictment.
The suit also comes a week after Seoul's city legislature decided to offer financial rewards to anyone who reports Uber drivers who are operating in the city illegally. Thailand and France have also placed bans on the service's operation due to concerns over the company's policies.
Uber responded to the lawsuit Wednesday, the Wall Street Journal reported, saying it will "vigorously defend the rights of riders to enjoy competition and choice, and for drivers to build their own small businesses."
